Consider Figure 5.1. Suppose the rest of the world voluntarily agrees to reduce steel shipments to Mexico vis-a-vis an export quota equal to 2 tons. Assuming Mexican importers behave as competitive buyers while foreign exporters behave as monopoly sellers, the overall welfare loss of the quota to Mexico is
a. $200.
b. $400.
c. $600.
d. $800.
d. $800.
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The bank reconciliation uncovered a transposition error in the books. This is an example of a
a. preventive control b. detective control c. corrective control d. none of the above
On January 2, 2012, Tech Metals Co leased a mining machine from BX Leasing Corporation. The lease qualifies as an operating lease. The annual payments are $50,000 at the end of each year, and the life of the lease is 10 years. What entry would Tech Metals Co make when the machine is delivered by BX Leasing Corporation.?
A) Machine 500,000Lease Obligation 500,000 B) Prepaid Rent 250,000Lease Obligation 250,000 C) Rent Expense 50,000Cash 50,000 D) No entry is necessary.
Regulation refers to
A. requirements concerning which customers a firm may serve or not serve. B. society's values and standards that are enforceable in the courts. C. constraints placed on businesses for activities that are legal but unethical. D. the moral principles and values that govern the actions and decisions of an individual or group. E. the restrictions that state and federal laws place on business with regard to the conduct of its activities.
Pip, a clerk for a Quik Burger, Inc., restaurant goes out on strike with the other employees. After the strike, Pip must be given his job back if the strike is not deemed unlawful, there is still work at the restaurant, and the strike was
A. an economic strike only. B. an economic strike or an unfair labor practice strike. C. an unfair labor practice strike only. D. unlawful.